Store Based Pricing Strategy: When to Use It
Store- based-pricing strategy is an important strategy in multi-chain retail businesses. It involves selling products at prices that vary from store to store and thus perfecting your marketing strategy. The pricing strategy for every store is based on various factors. In Nimbus retail software, multi-chain retail businesses have the option to configure different prices for each store.
Let’s have a look at the some of scenarios where you can effectively use the store-based pricing feature to increase sales.
Store-Based Pricing strategy Based on Store Location
Multi-store chains select locations for their outlets by factoring in various details of the selected location. For example, area, locality, average income group residing near the store, transport facility, etc. all are important considerations while selecting a location for your outlet. The factors that impact your location selection can vary from business to business. For example, a high-end fashion brand that caters to a particular segment of society or income group will consider different factors as compared to a medium-sized grocery store.
No matter what the business type is, each location has its own dynamics. The store-based pricing strategy can be used to tailor your marketing strategy according to each location. For example, if certain items are not selling well at a particular location, lowering the prices of such items only for that particular outlet can help increase footfall and sales.
In Nimbus retail software, you have the option to apply the store-based pricing strategy to selected items or all items.
Check: How to Configure Store-Based Prices in Nimbus
How to set up a store in Nimbus
Store-Based Prices Based on Customer Behaviour
Customer behavior also determines your marketing strategy. After having studied the customers’ behavior for a while you may realize that you could easily raise the prices of certain items without losing customers. Similarly, lowering prices of items that are not much in demand can help in generating sales of such products.
Store-Based prices for Factory Outlets
Many fashion retail outlets- apparel and footwear- have factory outlets. Factory outlets are used to sell products that have some minor defects, or products that are not selling well at the retail outlets. Sometimes, off-season stock is also sent to the factory outlet to be sold at lower prices. Keeping products with defects, or off-season products at the main retail outlet can impact the image of the brand or the sale of new arrivals.
The store-based pricing feature in Nimbus retail software can be used to mark one store as a factory outlet and set store-based prices for the inventory in the store.